The NSW government has issued a default notice to the CPB Contractors-led CGU consortium overseeing the $3.1 billion M6 motorway tunnel, demanding that tunnelling and related work recommence by May 1 or face legal action.

Aitchison said a technical solution exists within the current contract and that CGU must meet its commitments, describing ongoing negotiations and declining to share costs or a new completion date.

Transport for NSW and the premier stressed the project remains in the public interest and that taxpayers should not bear contractual risks; the contractors are expected to cover costs under their design-and-construct contract.

The government has spent about $5 million on legal fees amid the dispute, with debate over whether about $1.5 billion is needed to fix the tunnels, while the premier ruled out extra funding.

The M6 completion target has been pushed from late 2025 to the end of 2028, with the overall project cost now around $3.193 billion.

If the consortium does not resume, the government may hire another contractor to finish the project, potentially transferring liability and cost management.

The dispute centers on who covers the cost of halting construction and the fix, with the government arguing a technical solution exists within the contract and CGU must proceed.

The broader context includes other NSW infrastructure issues, such as the Great Western Highway closure near Mount Victoria due to cracks, adding to regional transportation disruptions.

Premier Minns and Transport Minister Aitchison publicly criticized CGU’s unilateral shutdown and urged a technical, contractual solution within the existing contract without additional funding.

CPB Contractors’ consortium includes Ghella and UGL; the M6 is linked to WestConnex and will be tolled upon opening, with the project remaining in government hands under current policy.

The deadline of May 1 remains the focal point as political and legal pressure continues over the impasse.

Minns stressed that the contractor assumed design and construction risks and will be responsible for resolving them.